Golden Valley Mine is set to inject US$600,000 into upgrading its processing plant and solar power infrastructure, a move expected to significantly boost production amid rising global gold prices, Mining Zimbabwe can report.
By Rudairo Mapuranga
The investment, revealed in the Chamber of Mines Commodity Outlook 2025, comes as Zimbabwe’s mining sector accelerates efforts to improve efficiency and sustainability.
With Zimbabwe’s energy challenges continuing to impact mining operations, Golden Valley’s decision to invest in solar power marks a critical step towards energy security and cost efficiency. The transition to renewable energy is expected to reduce operational costs, ensure uninterrupted production, and align the mine with global environmental sustainability trends.
Solar power adoption is gaining momentum in Zimbabwe’s mining sector, with companies seeking alternatives to unstable grid power and costly diesel generators. By investing in solar, Golden Valley is not only ensuring consistent processing operations but also contributing to Zimbabwe’s green energy transition.
Golden Valley’s plant investment will focus on improving recoveries and increasing throughput, enabling the mine to take advantage of record-breaking gold prices. As of April 1, 2025, gold prices have surged past $100/g ($3,126.97/oz), driven by geopolitical tensions, inflation fears, and increased demand from central banks.
The Fidelity Gold Refinery (FGR) in Zimbabwe is currently offering $94.64/g for gold of 90% purity and above, while fire assay cash prices stand at $95.14/g. With these high prices, efficiency improvements at Golden Valley will allow for higher profitability and increased returns on investment.
Financial institutions have revised their gold price targets upward, with Goldman Sachs projecting $106.08/g ($3,300/oz) by year-end, and some analysts predicting a possible $144.76/g ($4,500/oz) in extreme scenarios. The ongoing price rally presents a golden opportunity for Zimbabwean miners to expand production and maximize export revenues.
Golden Valley’s investment strategy aligns with the government’s broader Vision 2030, which aims to transform Zimbabwe into an upper-middle-income economy. This reinforces the importance of value addition and sustainable energy adoption in Zimbabwe’s extractive sector.
With rising gold prices, enhanced processing efficiency, and a shift towards sustainable energy, Golden Valley is poised for significant growth, positioning itself as a key player in Zimbabwe’s mining future.
